EC's demand on voluntary donations referred to Law Commission

The Election Commission's demand that the limit of Rs 20,000 be removed to make it mandatory for parties to show on record all voluntary donations, irrespective of the sum, has been referred to the Law Commission which is working on the issue of electoral reforms.
Since the poll panel's recommendation requires amending the Representation of People's Act, the government has decided to wait for the Law Commission's recommendations on electoral reforms before taking a final call.
In a recent communication to the poll panel, the Law Ministry has stated the "present legal position" that the R P Act only makes it mandatory for political parties to file details every year of funds/donations they receive in excess of Rs 20,000.

"If the government decides to amend the RP Act in the near future, then the demand of the EC can be incorporated," a Law Ministry official said here.
Section 29 C of the RP Act states that the treasurer of a political party or any other person authorised by it will prepare a report about the contribution in excess of Rs 20,000 received by the party from any person or other entities in a financial year.
Sources said the Law Commission has been mandated by the government to look into the entire gamut of electoral reforms and the issue of removing limit is part of it.

The law panel, which advices government on complex legal issues, will give its report on electoral reforms next month to help government take a call. An all-party meeting on poll reforms has not been ruled out.
In October last year, the EC had proposed to amend Form 24A, which makes it mandatory for political parties to file details every year of funds/donations they receive in excess of Rs 20,000.
The Commission had suggested that the limitation of Rs 20,000 be removed to make it mandatory for parties to show on record all voluntary donations, irrespective of the sum.